The ministry says it merely wants financial institutions to also expand their financing portfolios into upstream stages and ancillary components such as solar cells, ingots‑wafers, polysilicon, solar glass, and aluminium frames to strengthen India’s solar value chain.
The Ministry of New & Renewable Energy (MNRE) has categorically dismissed recent media reports suggesting that lenders have been asked to pause fresh financing for renewable energy projects or equipment manufacturing facilities to prevent overcapacity.
Reiterating its commitment to building a robust enabling ecosystem for the country’s renewable energy sector, MNRE clarified in a statement issued on Sunday that no such advisory has been issued.
MNRE explained that it has shared with the Department of Financial Services and non‑banking financial companies (NBFCs), such as the Power Finance Corporation (PFC), REC Ltd, and the Indian Renewable Energy Development Agency (IREDA), the current status of installed domestic manufacturing capacities across solar PV segments. These include solar modules and upstream stages such as solar cells, ingots‑wafers, and polysilicon, as well as ancillary equipment like solar glass and aluminium frames.
This information, MNRE said, is intended to help financial institutions adopt a calibrated and well‑informed approach when evaluating proposals for financing solar PV manufacturing facilities. At the same time, they have been encouraged to expand their portfolios into upstream stages and ancillary components to strengthen India’s solar value chain.
The ministry emphasised the Central Government’s commitment to making India self‑reliant in solar PV manufacturing and positioning the country as a major player in the global supply chain. Key initiatives include the Production‑Linked Incentive (PLI) scheme for high‑efficiency solar PV modules and measures to ensure a level playing field for domestic manufacturers.
The catalytic effect of these interventions has already been significant. Solar module manufacturing capacity has expanded from just 2.3 GW in 2014 to around 122 GW today, as listed in MNRE’s Approved List of Models and Manufacturers (ALMM).
“This expansion underscores the success of India’s solar PV manufacturing story through the collective efforts of industry, state governments, and the central government, while reinforcing India’s commitment to achieving 500 GW of non‑fossil fuel capacity by 2030 and contributing meaningfully to global decarbonisation,” MNRE said.
The ministry added that it will continue strengthening the solar manufacturing ecosystem through policy support, infrastructure development, and innovation, while engaging with stakeholders to ensure India’s solar journey remains inclusive, competitive, and future‑ready.